Increased Government Support For Job Support Scheme
HM Treasury has today announced that the Government contribution to employers’ wage costs under the Job Support Scheme (JSS) will be increased. Employers will be expected to pay 5% of the cost of unworked hours instead of the 33% originally announced.
The JSS, which was announced on 24 September 2020, opens on 1 November 2020 and is intended to run for six months. As originally announced, the JSS would require employers to pay a third of their employees’ wages for hours not worked, and require employees to be working 33% of their normal hours.
Today’s announcement reduces the employer contribution to those unworked hours to 5% and reduces the minimum hours requirement to 20%, so those working just one day a week will be eligible.
Employers will continue to receive the £1,000 Job Retention Bonus. The scheme for businesses legally required to close remains unchanged.
Link to Gov.uk – Plan for Jobs: Chancellor increases financial support for businesses and workers
If you have any queries regarding the Job Support Scheme, the furlough scheme or redundancy, please contact a member of the team below.